What is the process of LLC company formation in Dubai?

LLC company formation in Dubai is most preferred by entrepreneurs from around the world. It offers ample business opportunities, diverse policies, and wider access to the UAE market. Now that starting a new business in Dubai is easier than ever before, you can take your business to new heights through LLC company formation in Dubai

Remember, you must partner with a local sponsor who is a UAE national to open an LLC. Shuraa Business Setup is a renowned business consultancy that can help you in LLC company formation in Dubai at a low cost. But before starting to plan anything, you must be well acquainted with the benefits, paperwork, and process of LLC company formation in Dubai.

Why Form an LLC in Dubai?

Why Form an LLC in Dubai?

Other than company formation at a low cost, there are several other benefits of forming an LLC company in Dubai: 

  1. Besides banking, insurance, and investment an LLC can involve in various types of business endeavors. 
  2. An LLC has the freedom to easily repatriate all the funds and profits.
  3. A Limited Liability Company can open multiple bank accounts.
  4. An LLC can get a tax identification number. 
  5. It is allowed to run a business under its own name.
  6. A Limited Liability Company is relieved from paying customs duty on imported goods. 
  7. No restrictions are imposed on real state ownership.
  8. There is no limit to the number of visas that can be obtained.
  9. The physical office space for an LLC Company can be located anywhere in the UAE.
  10. Through an LLC you get access to a wider market across UAE. 

How to Form a Limited Liability Company in Dubai?

You must follow the given process step-wise to form an LLC in Dubai:

Step 1 – Settle on a Business Activity

Department of Economic Development provides a list of business activities allowed in the UAE. Simply choose the ones that are best suitable for your business. You can then mention them in your application form and submit it with DED. Connect with an expert and experienced company formation consultant to help you decide the types of business activity for your business.

Step 2 – Decide a Name for Your Company

In this step, you need to decide on a suitable name for your company. It is important to keep in mind that using offensive and controversial words for your company name is not allowed. Also, you cannot include religious references in the company name. If you choose to use the name of a person you have to provide both, the first name and the last name. Once you decide on the final name, you must legally register it with DED. 

Step 3 – Application for Initial Approval

Once DED approves your company name, you must apply for an Initial Approval Certificate. It will state that DED has no objection to your Limited Liability Company (LLC) formation in Dubai. Commercial Registry will provide you an entry once you get the initial approval. 

Step 4 – Draft and Sign MoA & LSA Agreement 

You must partner with a Local Service Agent (LSA) who is a UAE national to help you draft an MoA. You and your business partners have to draft and sign a Memorandum of Association. The local agent will represent your company for licensing and compliance. You can now get the remaining documents attested. Note that the Emirati national will own 51% of the shares of your company. The remaining 49 percent is owned by foreign investors. 

Step 5 – Find a Suitable Location for Your Company Office

One of the most important requirements for LLC company formation in Dubai is to rent office space. LLC gives you the freedom to locate your office space in any location within the UAE. Once you find a perfect location for your business, you need to register at Ejari. After registering, you will get a unique Ejari code and acquire your tenancy contract. To register with Ejari, you must have the initial approval certificate and other necessary documents required by RERA. 

Step 6 – Acquire Your LLC License

After fulfilling the above-mentioned steps, you have to submit the remaining documents to the Dubai Economic Department. Once you complete the paperwork and submission, the DED will go through all your documents thoroughly. As soon as your application and documents are approved, you will receive a confirmation mail from the DED. You will then be issue with your trade license. The mail will include a payment voucher through which you need to pay the required license fee. Make sure you initiate the payment within 24 hours of receiving your trade license. 

What are the Required Documents to Form a Limited Liability Company in Dubai?

To open a Limited Liability Company in Dubai, you need to keep a few documents handy to avoid any disturbance or interruptions in the registration process. The list of documents required for initial approval and to acquire a trade license is mention below:

Documents Required for Initial Approval:

  1. A photocopy of your passport (including visa page copy).
  2. Photocopy of passports of all the shareholders and stakeholders.
  3. Fill and submit the application form from Dubai Economic Department.
  4. A legal document to prove the Trade Name Reservation of your company.
  5. Photocopy of your Emirati ID (only for UAE nationals).
  6. Acquire a No Objection Certificate and letter from your current sponsor.
  7. Approval letter for business activities. 

Documents Required After the Initial Approval 

  1. The receipt of the initial approval issued by the government.
  2. Tenancy contract and Ejari registration slip for the rented office space and warehouse if any. (Make sure to get it to approve by the planning department and civil defense department of Dubai municipality. 
  3. Location plan and blueprint of your office space.
  4. Photocopy of the attested and signed Memorandum of Association.
  5. A reference letter from the bank for each shareholder.

Connect With Shuraa

Though the process to start an LLC company in Dubai is simple and there is less paperwork, it is advise to seek help from experts for company formation. Business consultants at Shuraa Business Setup can assist you throughout the whole process of LLC company formation in Dubai. You can simply contact us and we will help you with everything from selecting your business activities to preparing required documents. You can rely on business consultants at Shuraa to acquire your trade license for LLC at a minimum cost. 

Connect with Shuraa today by calling us on +971 44081900. For chat assistance, send a WhatsApp message on +971 50 777 5554. You can also write to us at

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